Baltic Exchange to launch LNG index and new tanker routes

Catogory : Market Report

THE Baltic Exchange is aiming to officially launch a new liquefied natural gas index next month, while it pilots two others. The LNG 1 index, which represents the Gladstone to Tokyo round voyage on a 160,000 cu m carrier, has been on a trial run since July. The latest assessment was at $35,593 as of February 19.

The LNG 3 index, which covers the Sabine Pass-Tokyo round voyage, is also expected to start a “public trial” in March. The LNG 2 index will soon be going on a “blind trial” because of its new description, at the FFABA tanker freight derivatives forum in London.

The index was initially expected to assess the Ras Laffan to Bahia Blanca round voyage but that is being amended to the voyage from Sabine to the Isle of Grain.  The London-based exchange will also be launching five new tanker routes — one clean and four dirty — on March 1.

The TC17 route covers a medium range tanker on the Middle East Gulf (Ras Laffan) to east Africa (Dar es Salaam) voyage for loading 15-25 days from the index date. The TD22 is for a very large crude carrier from the US Gulf to China, while the TD23 route is for a suezmax plying the Basrah to Lavera route. The TD24 assesses an aframax traversing the Russian Pacific from Kozmino to Qingdao, while the TD25 is for an aframax from the US Gulf (Galveston) to Trieste in the Mediterranean.